Investigation into Moray Offshore Windfarm (East) Limited's compliance with the TCLC

Investigation into Moray Offshore Windfarm (East) Limited's compliance with the TCLC | Ofgem Please enable JavaScript in your web browser to get the best experience. BETA This site is currently in BETA. Help us improve by giving us your feedback . Close alert: Investigation into Moray Offshore Windfarm (East) Limited's compliance with the TCLC Publication type: Enforcement case Publication date: 9 April 2025 Status: Open Topic: Compliance and enforcement, Electricity generation Subtopic: Enforcement Get emails about this page Print this page Share the page Share on Facebook Share on Twitter Share on LinkedIn Ofgem is investigating the compliance of Moray Offshore Windfarm (East) Ltd (the owner and operator of Moray East Offshore Windfarm) with the requirements of condition 20A of the Electricity Generation Standard Licence Conditions (known as the Transmission Constraint Licence Condition, or “TCLC”). A transmission constraint is defined in the TCLC as any limit on the ability of the national electricity transmission system, or any part of it, to transmit the power supplied onto the system to the location where the demand for that power is situated. In order to manage transmission constraints, National Energy System Operator (“NESO”) routinely uses the balancing mechanism (“BM”) to increase and decrease the amount of electricity produced by different generators. Typically, when managing a transmission constraint, NESO will only have a limited number of alternatives available to it. This creates a risk that generators could exploit their position by charging NESO excessive prices to reduce their output. The TCLC prohibits them from doing so. Since it began operating in the BM in September 2021, Moray East Offshore Windfarm has been regularly instructed by NESO to reduce its generation to manage transmission constraints. Its bid prices since then appear expensive relative to the expected marginal cost of reducing generation for this generator. Our investigation will assess whether these bid prices were excessive during periods of constraint. The opening of this investigation does not imply that we have made any findings about non-compliance by Moray Offshore Windfarm (East) Ltd. Get emails about this page Print this page Share the page Share on Facebook Share on Twitter Share on LinkedIn Close Notify me Would you like to be kept up to date with Investigation into Moray Offshore Windfarm (East) Limited's compliance with the TCLC ? subscribe to notifications: Email Submit Close